The case of Banco Espirito Santo is symptomatic of the industry in southern Europe. Bad loans are making their way through the balance sheet. The cheap money from the ECB does not reach the companies. But it’s not just the banks to blame.

By Klaus-Rainer Jackisch, HR

Avenida da Liberdade is Lisbon’s boulevard. Based on the Parisian model of the Champs-Elysees, it connects the center with the northern districts of the Portuguese capital. Those who are self-conscious stroll here to see and to be seen. Anyone who is even more self-conscious has their office here. And those who are very self-conscious even have their headquarters here.